BPM: Drilling next quarter - the big one we’ve been waiting for...

Disclosure: S3 Consortium Pty Ltd (the Company) and Associated Entities own 3,645,713 BPM Shares and 1,043,750 BPM Options at the time of publishing this article. The Company has been engaged by BPM to share our commentary on the progress of our Investment in BPM over time. This information is general in nature about a speculative investment and does not constitute personal advice. It does not consider your objectives, financial situation, or needs. Any forward-looking statements are uncertain and not a guaranteed outcome.

There aren't many gold targets left in WA that are 6km long, surface-sampled at over 1 g/t, sitting on a 8Moz Tropicana-grade shear zone...

A footprint large enough to be WA’s next major gold discovery...

PLUS the right type of geology similar to some of the mega mines in the area.

and have never had a single drill hole put into it.

Our exploration Investment BPM Minerals (ASX:BPM) “Bonnie & Clyde” prospect is one of them.

It's the reason BPM is calling it the "crown jewel" of its 2026 program.

(the company’s words, not ours - although we're not exactly rushing to disagree)

This morning BPM provided an update and says it is drilling Bonnie and Clyde next quarter.

Bonnie and Clyde sit across an area so large it’s comparable to that of the 8Moz Tropicana deposit owned by $69BN AngloGold and $5.6BN Regis Resources.

AND the Glenburgh discovery - which has re-rated Benz Mining’s share price by over 400% in the last 12 months.

(past performance of Benz Mining is not an indicator of future performance of BPM)

(Source)

We’ve been waiting for this drilling event for nearly 6 months now.

BPM first started talking about Bonnie and Clyde as a priority target in November last year. (source)

At the time, drilling was at least 9+ months away - usually enough time for the market to move on to the next shiny target junior explorers are talking about.

Turns out, that lead time actually worked out pretty well for BPM.

BPM has had a full FIVE months to hit the road and insert the target and a potential discovery into the market's mind.

BPM’s last capital raise was cornerstoned by two institutions - Terra Capital and Tribeca Investment Partners for $3.5M at 23c a share, about the same price BPM is trading right now.

BPM even got a mention on the Money of Mine podcast by fund manager Tom Woolrych from Deutsche Rohstoff AG, who gave BPM a shoutout as a PA (personal account) purchase back in January.

Check out the Money of Mine podcast section where BPM is talked about here.

BPM is currently capped at $29M and had $7.9M cash in the bank at 31 March 2026.

So when drilling comes around, if we see any strong hits there will be a lot of eyeballs on the results (and hopefully enough of a crowd to trigger the next big re-rate in BPM’s share price).

Today BPM released a progress exploration update, confirming heritage surveys complete, soil samples have been collected.

And now next quarter drilling should finally begin.

(read today’s BPM announcement here)

There is also old exploration data (including an old diamond drillhole) on another one of BPM’s

prospects (Dragonfly) “confirms Tropicana-style mineralisation” (source)

So maybe we should start calling it “Bonnie, Clyde and Dragonfly”?

Doesn't have quite the same ring to it though.

(source)

So again, BPM has a target with a footprint large enough to be WA’s next major gold discovery AND (fingers crossed) the right type of geology similar to some of the mega mines in the area.

The best part (but also the scariest) is that the targets have NEVER been drilled before.

(this is what we are Invested to see - drill it!)

So BPM will be the first company to have a proper crack at a discovery on this mega target.

That starts in a few months.

While we wait for that drilling to start - we get exposure to BPM’s 5,000m drill program on its Beachcomber target.

BPM is also drilling another target RIGHT NOW

The 6km long Bonnie & Clyde prospect isn't the only target BPM can drill chasing an 8M ounce Tropicana look-alike.

(Source) (Source)

BPM has 75km of mineralised strike within its project, and has a pipeline of other drill targets.

The one BPM’s drilling right now is called “Beachcomber”, where BPM finished a 24-hole RC drill program and hit gold in every single hole back in January: (Source)

(Source - BPM announcement)

Now, BPM is running a second 45-hole, 7,500m RC drilling program at the project.

The last round of drilling at confirmed the gold at this prospect was open at depth and to the south - now we get to see BPM drill out those areas testing for extensions:

(source)

16 of the 45 holes (for around 3,500m of the 7,500m) are drilling in and around the gold hits from the last drill program.

The remaining 29 holes (4,000m) are targeting untested soil anomalies across the broader Beachcomber area - these are the higher risk (but also higher reward) holes.

We are especially interested in seeing what comes from the a 700m long gold-in-soil anomaly:

(source)

IF any of these anomalies return main lode-style grades, this project starts to look a lot bigger than just one lode...

(there are no guarantees, but the soil sampling at the main lode was validated by the drilling results, which makes these new targets more compelling)

Assay results from this drill program are expected in the coming weeks (May/June).

Any find here - even if it's a few hundred thousand ounces of gold, could start to bring a lot more interest in the other targets BPM has sitting across its ~75km of strike.

Then BPM can use the interest in the stock (and its bigger market cap) to have a real crack at making a large new discovery on completely undrilled targets.

Below is BPM’s broader ground package where there is still a lot of work to be done to fully investigate potential discoveries:

(Source)

With BPM currently capped at just $29M, all we really need is for one of these targets to come in as a major new discovery and we think the market cap of BPM could multiply from where it is today.

The structural geologist behind a 5.5M ounce discovery mapped these targets

Another thing we like about BPM’s targets is that they were mapped by Dr Barry Murphy.

(source)

Dr Murphy was behind Predictive Discovery’s monster find in Guinea.

A small cap stock which made a 5.5M ounce discovery and turned it into an over $2BN valued acquisition/merger in under 6 years.

The past performance of Predictive is not and should not be taken as an indication of future performance of BPM. Caution should be exercised in assessing past performance. BPM, like all other financial products, is subject to market forces and unpredictable events that may adversely affect future performance.

Interestingly, Predictive’s find was also made with a similar target generation model:

1. Do structural mapping across a project area - BPM has already completed this, BPM also doing geophysical surveys now.
2. Do some soil sampling and find big targets - BPM’s already done this. Today BPM said it had completed another 1,500 soil samples across the project.
3. Then drill those targets to see if there is gold in them - BPM next quarter.

Here is how Predictives target looked, sitting across ~1.5km (after some soil sampling and shallow auger drilling):

(source)

So far, BPM’s target is multiples the size of that.

What we haven’t seen yet is drilling.

(source)

Of course, these are just soil anomalies.

There have been thousands of gold-in-soil targets drilled where nothing economic was discovered. There is always a risk BPM finds nothing at any of its regional targets.

Ultimately though, for BPM to achieve our Big Bet we will need the company to make a material discovery as follows:

Our BPM Big Bet:

“BPM discovers and defines a large resource, leading to a long term re-rate in the company’s share price by >1,000%”

NOTE: our “Big Bet” is what we HOPE the ultimate success scenario looks like for this particular Investment over the long term (3+ years). There is no guarantee that our Big Bet will ever come true. There is a lot of work to be done, many risks involved, including development risk, country risk and commodity price risk - just some of which we list in our BPM Investment Memo.

Success will require a significant amount of luck. Past performance is not an indicator of future performance.

What’s next for BPM?

Beachcomber Phase 2 drilling (7,500m)

As mentioned earlier, here we want to see BPM extend the gold discovered with BPM’s first round of drilling on this prospect.

Here are the catalysts we are tracking across this prospect:

• ✅ Drilling commenced
• 🔲 Drilling completed
• source) 🔲 Assay results - expected May (

Bonnie & Clyde targets (Drilling targeted for next quarter)

After today’s announcement we have three key bits of newsflow to look out for on these prospects over the coming weeks/months:

Here are the catalysts we will be tracking:

• ✅ Key tenement granted
• ✅ Heritage survey
• 🔄 Soil sampling (1,500 samples taken, assays 4-6 weeks away from today)
• 🔄 Geophysical survey results (recently completed, results pending)
• 🔄 Program of Work - submitted, awaiting approval
• 🔲 Maiden RC drilling - Q3 2026 (confirmed today planned Q3)

What could go wrong?

In the short term the key risk for BPM will be “exploration risk”.

BPM is currently in the middle of a second phase of drilling on its Beachcomber prospect.

There is no guarantee that BPM replicates the results from its first round of drilling on that project.

Given there are historic drilling results on the project already, the market will likely build in expectations that BPM can at least replicate those results.

IF drilling fails to deliver any economic mineralisation OR extensions to the known gold mineralisation on its project the market could re-rate the stock lower.

Exploration risk

BPM is still a long way from a discovery, and even further from defining a resource. Just because AngloGold drilled a few holes back in the day, it doesn’t guarantee BPM will hit anything significant in its follow-up drilling. BPM is an early-stage exploration company, and could come up empty-handed.

Source: “What could go wrong” - BPM Investment Memo 21-Aug-2025

Other risks

Like any early-stage exploration company, BPM carries significant risk, here we aim to identify a few more risks.

BPM’s share price has already run from 2.9c to over 22c in anticipation of this drilling, meaning the market has relatively high expectations. If the upcoming results are anything less than stellar, the stock could face a sharp re-rate to the downside.

The "Bonnie and Clyde" prospect has never been drilled before, and while the soil anomaly is massive, there is a very real statistical probability that the underlying geology does not host economic gold mineralisation.

Exploration is an expensive business, and while the current cash balance of $7.9M is relatively healthy, a sustained drilling campaign will eventually require further capital raises which could lead to shareholder dilution.

BPM is also reliant on the "Program of Work" being approved on time; any bureaucratic or environmental delays could push back the Q3 drilling timeline and test the market’s patience.

As a junior gold explorer, the company is highly sensitive to the gold price and general macro sentiment, meaning the share price could be dragged down by broader market volatility even if the technical work is going well.

Investors should consider these risks carefully and seek professional advice tailored to their personal circumstances before investing.

Our BPM Investment Memo

You can read our BPM Investment Memo in the link below.

We use this memo to track the progress of all our Investments over time.

Our BPM Investment Memo covers:

• What does BPM do?
• The macro theme for BPM
• Our BPM Big Bet
• What we want to see BPM achieve
• Why we are Invested in BPM
• The key risks to our Investment Thesis
• Our Investment Plan